Just a quick question. I went to see a potential client the other day who is a property developer. I had a little look through their accounts and as well as renting out several properties, they have just completed building their first new house to sell on.
I haven't done much bookkeeping for a while and I am trying to get my head around this client before I agree whether or not to take them on.
When it comes to things like putting in double glazing, a boiler, bathroom, kitchen, laying a drive etc I'm assuming that I account for these as fixed equipment as they are assets integral to the building's function.
However when it comes to things like paying a decorator to paint or paying for a plumber to fit the bathroom would this come under Repairs - even though they aren't actually fixing anything - they are putting in everything brand new?
Is there anything that I need to be aware of when dealing with a new house build?
Any advice appreciated